Assessment of Colgate Palmolive's Competitive Position

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Assessment of Colgate Palmolive's Competitive Position

Toothbrush manufacturers have poured millions of dollars and hours, to marry form and function in oral health care products that enable their users to brush frequently, comfortably, and above all, properly. Along the way, they have built the U.S. oral care market into a $2.9 billion industry, changed the brushing habits of millions and turned the lowly toothbrush into a trendy lifestyle accessory.

As the consumers are becoming more concerned about the health of their teeth, the toothbrush companies are focusing on helping them have an optimal dental health, and offering various types of toothbrush; to do this they must be all the time focused on what the customer's needs are.

And for this reason, the toothbrush companies have made numerous functional and aesthetic changes to the heads and bodies their products. Some toothbrushes have an indicator who tells you when to change the toothbrush; handles were thickened for a more comfortable grip and lengthened to extend the reach of the bristles. Shaft materials changed, incorporating translucent and more flexible plastics in the handle and rubber components fashioned into thumb ridges to help prevent slippage. The toothbrush market has become very competitive, and Colgate-Palmolive is facing strong competition for its products from existing companies like Johnson & Johnson and Oral-B and new companies such as Procter & Gamble and Smith Kline Beecham who positioned their new product lunches in the super-premium toothbrush segment.

In 1991, CP launched new products in the U.S market CP and held 43% of the world toothpaste market and 16% of the world toothbrush market. Other oral care products included dental floss and mouth rinses. In 1991, worldwide sales of CP's oral care products increased 12% to $1.3 billion, accounting for 22% of CP's total sales.

2. How is the toothbrush market segmented….? Compare consumer behavior for toothbrushes and toothpaste…..?

The toothbrush category is divided into two segments: value and professional. Also, the toothbrushes are differed by bristle type ( firm, medium, soft and extra soft) and by head size (full/adult, compact and child/youth). In the beginning the toothbrushes were introduced on the basis of functional features but in the late 1980's this changed and many new toothbrushes were introduced on the basis of aesthetic and of course this changed because in 1991 new product introduction were again focused on technical performance improvements. Generally, different people have various needs for buying toothbrush.

Furthermore, we have three groups of consumers:

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